This excerpt taken from the NRG 10-K filed Feb 28, 2007.
Fresh Start Reporting
In accordance with Statement of Position 90-7, Financial Reporting by Entities in Reorganization under the Bankruptcy Code, or SOP 90-7, certain companies qualify for fresh start reporting in connection with their emergence from bankruptcy. Fresh start reporting is appropriate on the emergence from chapter 11 bankruptcy if the reorganization value of the assets of the emerging entity immediately before the date of confirmation is less than the total of all post-petition liabilities and allowed claims, and if the holders of existing voting shares immediately
NRG ENERGY, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
before confirmation receive less than 50 percent of the voting shares of the emerging entity. NRG met these requirements and adopted Fresh Start reporting upon the Companys emergence from bankruptcy on December 5, 2003.